A $60,000 Loan at 12% Compounded Semi-Annually Is to Be

question 104

Multiple Choice

A $60,000 loan at 12% compounded semi-annually is to be repaid by monthly payments of $1,000.
-How long will it take to pay off this loan?

• A) 7 years and 5 months
• B) 7 years and 6 months
• C) 7 years and 7 months
• D) 8 years and 3 months
• E) 8 years and 4 months

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Definitions:

Implicit Memory

A type of memory that enables the use of objects or movements without conscious or intentional recollection, such as procedural memory.

Explicit Memory

A type of long-term memory involving conscious recollection of facts and experiences.

Encoded Information

Data that has been converted into a form, code, or language that can be processed and used effectively by a person or machine.

Retrieval Failure

The inability to recall information from long-term memory, often explained by the theory of decay or interference.